Gold Standard Act of 4586
Overview The Gold Standard Act of 4586 was an act that was the landmark policy of Heidi Fjelstad's political career. It brought the Solentian Treasury to adopt Gold as a backup for the Solentian Dollar. It created the Gold Reserve and made the Solentian Dollar a major currency in Terra. The Act: This is the act: First What do we mean by Gold Standard? Well, we propose to have some of Solentia's currency redeemable by gold and all of it with gold backing it up. This act shall bring a system that will make inflation almost impossible because there is only so much gold Solentia has. Also, gold's value grows slowly instead of shooting up and messing with the economy. Solentia also has a large gold reserve thanks to many years of keeping it under lock and key from Fascists and others. This would keep Solentia's economy growing and someday we can expect our currency to lead the way because we have gold behind it. So please vote yes for this bill it is common sense to have our money backed by something. To Go Before the Solentian Senate An Act to define and fix the standard of value, to maintain the parity of all forms of money issued or coined by the First Solentian Republic, to refund the public and debt, and for other purposes. Be it enacted. ., That the dollar consisting of twenty-one and eight-tenths grains of gold nine-tenths fine shall be the standard unit of value, and all forms of money issued or coined by the First Solentian Republic shall be maintained at a parity of value with this standard, and it shall be the duty of the Minister of Finance to maintain such parity. Part 1.20 Solentian Dollars shall equal 1 ounce of gold. This shall not change. Part 2: The Solentian Treasury shall print bank notes that are refundable in the gold amount given in article 1. The bills shall range from five to ten thousand dollars. These shall be monitored by the Senate and Finacial Department to make sure the funds are available. Part 3: The Government shall use 400 million dollars in a reserve fund to refund citizens for Solentian Dollars. The treasury shall print Gold Certificates that shall be used to exchange for gold. It shall be the Minister of Finance's duty to make sure the reserve stays adequately funded any of said notes shall be redeemed from said fund it shall be the duty of the Minister of Finance to use said notes so redeemed to restore and maintain such reserve fund in the manner following, to wit: First, by exchanging the notes so redeemed for any gold coin in the general fund of the Treasury; second, by accepting deposits of gold coin at the Treasury or at any subtreasury in exchange for the First Solentian Republic notes so redeemed; third, by procuring gold coin by the use of said notes, in accordance with the provisions of Article 2. If the Minister of Finance is unable to restore and maintain the gold coin in the reserve fund by the foregoing methods, and the amount of such gold coin and bullion in said fund shall at any time fall below 200 million dollars, then it shall be his duty to restore the same to the maximum sum of four hundred million dollars by borrowing money on the credit of the Solentian Republic, and for the debt thus incurred to issue and sell coupon or registered bonds of the Solentian Republic, in such form as he may prescribe. Part 4: Silver shall not be used to fix and define monetary amounts instead it shall be used on commemorative coins. Part 5: Only registered Solentian citizens may redeem gold certificates. Also, gold certificates can only be used in Solentia. Overseas transactions shall use promissory notes. This is so that the gold supply stays in the country. Part:6 Since the Minister of Finance is in charge of the Gold Standerd he shall also make sure that the exchange rate does change. It shall be allowed to float but his job shall be to keep the rate at the set standerd. Category:Solentia Category:Conservative Category:Gold standard Category:History of Solentia Category:Solentia Politics Category:Landmark Decisions in Solentia